The House of Commons has called for Prime Minister Justin Trudeau to have an “emergency meeting” with the premiers to discuss alternatives to the federal carbon price. This comes after the adoption of a non-binding Conservative motion, supported by the NDP and Bloc Quebecois, pushing for such a meeting. The motion was introduced by Conservative Leader Pierre Poilievre and was amended to acknowledge the controversy surrounding the carbon price and the federal government’s mandate on carbon tax policy. The Supreme Court of Canada has affirmed Ottawa’s authority to establish a minimum national pollution price in 2021.
The federal backstop for carbon pricing increased from $65 per tonne to $80 on April 1, despite pushback from most premiers in jurisdictions where it applies. Liberal Newfoundland and Labrador Premier Andrew Furey has requested a meeting with Trudeau to discuss alternatives to the carbon price. In response, Trudeau sent a letter to provinces where the backstop applies, stating that they have always had the opportunity to present alternative plans that incorporate the backstop. Several premiers, including those from Saskatchewan, New Brunswick, and Alberta, have voiced their opposition to the increase and called for it to be paused. Saskatchewan Premier Scott Moe stated that alternative plans were considered but found to be too costly.
Various premiers have proposed alternative strategies to address carbon emissions, such as increased investment in natural gas and pipelines to displace coal power in international markets. Manitoba Premier Wab Kinew has expressed a desire to present an alternative to the federal carbon price for his province and met with Trudeau on this issue in Winnipeg. The current opposition to the carbon price is largely centered around concerns about the cost of living, with calls for the government to alleviate the financial burden on Canadians. The NDP has also advocated for the removal of the GST from home heating and emphasized the need for a comprehensive climate policy that holds major polluters accountable.
According to a report from the Canadian Climate Institute, the industrial carbon price accounts for a significant portion of Canada’s emission reductions, ranging from 20 to 48 percent. In contrast, the fuel charge that individuals pay for items like gasoline contributes to eight to 14 percent of emission cuts. NDP environment critic Laurel Collins has criticized the government for focusing too heavily on consumer carbon pricing as the primary solution to climate change. She argues that a more comprehensive approach is needed, including stronger industrial carbon pricing to ensure that major polluters pay their fair share. Collins also emphasizes the importance of shifting the burden of pollution from everyday Canadians onto corporations and wealthy CEOs.
Overall, the debate over the federal carbon price highlights the tensions between different provinces and the federal government regarding climate policy. While some premiers have called for alternatives to the carbon price, others have voiced support for the existing system. The push for a meeting between Trudeau and the premiers reflects a desire for collaboration and consensus-building on this critical issue. As Canada seeks to meet its emission reduction targets and address the challenges of climate change, finding common ground between federal and provincial governments will be essential.